How can I appeal a tax dispute?

On behalf of Jacob Shakarchy of Cox Padmore Skolnik & Shakarchy LLP posted in Corporate & Business Tax on Monday, March 13, 2017.

Even the most responsible small business owners in New York may find themselves facing tax disputes from time to time. In some cases, you might even disagree with the IRS's findings, which can necessitate making a formal appeal. Accordingly, being aware of the appeals process and how it works is crucial to ensuring your concerns receive the appropriate attention.

The IRS offers information on how taxpayers can appeal a determination, which entails creating a formal written protest. This document must contain certain information to be considered valid, such as an official statement of appeal, your contact information, a listing of the tax periods in question and a statement that the information contained therein is true and accurate. You must also detail why you dispute the IRS's finding, which should be backed up by any relevant laws or facts. Typically, your appeal must be sent within the 30 days of the first notification from the IRS.

There are a few factors you can look at when considering whether you should appeal the IRS's decision. The agency may have misunderstood some statute or law pertaining to the tax code, making the resulting assessment incorrect. It's also possible that a tax law has been misinterpreted, and therefore was inaccurately applied to your case. Whatever the underlying reason for the oversight, you must be able to provide evidence that the IRS made a mistake in their determination.

In the event you choose a representative to help with an appeal, that person must be authorized by the IRS. Authorized representatives typically include certified public accountants and lawyers working on your behalf. Additionally, you can also choose to represent yourself, but you will be responsible for providing the IRS with documentation related to your case and filing all paper work within the time frame allotted.